My way of fighting the fed, I cannot sit still anymore

[WaveStrider]

Quote from makloda:

I thought it couldn't get worse here on the forum. Landis is right, you're wrong. You won't have job growth without a functioning banking system. Credit is the lubricant that keeps a nation's economy running. No credit no growth simple as that. Banking system goes into melt-down so does employment and the entire economy.

The crux of the problem is that the banks have managed set up their risk as a poison-pill to the economy/country.

They can do outlandish risk-taking with a guarantee of a bailout because the crowd will carp on how letting them fail will be disastrous to jobs.

The politicians they have paid off have allowed them structure their betting this way, so it is now true.

So they bet big and all together. And if it collapses, devalue the currency and take the fix out of John Q Public's pocket.

There will be enough people screaming about lost jobs to let the game continue to the next round.

 

[Aaron Copland]

Quote from Landis82:

I'm sorry, but you continue to show a total lack of basic understanding of ECONOMICS and how it works . . . either that or you have a terribly poor level of reading comprehension.

Banks make loans to companies using the companies assets as collateral. Companies then order basic materials, equipment, and hire employees in order to support production of their product.

No banks = No loans to Corporate America = no purchasing of basic materials, services = no hiring.

No jobs = no consumption

Got that?

Companies can grow and expand from profits, profits is what makes company grow not more and more debt.

Debt is what makes companies weak, servicing debt boy what a stupid way to run a company, that’s what’s wrong with corporate America.

I really do think you’re a spokes person for the Fed.

 

[makloda]

Quote from Aaron Copland:
Debt is what makes companies weak, servicing debt boy what a stupid way to run a company

Not sure if this is news to you, but every company in the entire world - even the couple of triple AAA rated ones GE, BRK-A, etc. etc, - use credit lines and debt every day of the week. A healthy company's cash account is 'breathing' as cash in coming into the company from revenues of goods sold and going out of the company via costs. Banks facilitate the differential with short/medium term credit. On top of that long term credit is used for longer term investments, expansion, research & development etc.

No company can work without credit.

 

[Landis82]

Quote from Aaron Copland:

Companies can grow and expand from profits, profits is what makes company grow not more and more debt.

And please tell me where do "new" companies and and "new" technologies get capital from in order to emerge and grow?

Have you ever thought of that?
Guess not.

 

[Aaron Copland]

Quote from plugger:

You're extrapolating your own personal experience to the economy and banking sector as a whole? Does that seem like a reasonable approach to analysis?

There is a HUGE problem here. Go to the Federal Reserve Bank of St. Louis for some facts and information. Or do some reading. Sign out a book on economics from your local library. I'm not attacking you, but i don't think you appreciate the magnitude of the problem. It's a lot bigger than you having to pay an extra 50 cents for a jug of milk (which coincidentally has nothing to do with Fed policy but everything to do with imbalances in the agricultural markets).

Appreciate the magnitude of the problem, What kind of statement is that.

I am the economy, I

 

[plugger]

No sense in continuing to post here. The inflation crowd and people hoping for widespread bank failures continue to rehash the same groundless arguments. Whatever you guys do, don't let the facts get in your way. For anyone who is interested in how this could play out, do some reading on Argentina in the 1990's and what happened to the middle class.

 

[Landis82]

Quote from Aaron Copland:

Appreciate the magnitude of the problem, What kind of statement is that.

I am the economy, I

You are either a little kid that is extremely lonely and enjoys playing on the Internet, or you are being paid by the owners of this website to create "web-activity".

I vote the latter.
That's why ET has become as devalued as the U.S. dollar.

 

[Landis82]

Quote from paysense:

I think Alan Greenspan had the right idea, but what the current Chairman is doing is gonna really hurt in the long run IMHO.

Are you on drugs???
Alan Greenspan was the one who created this problem in the FIRST place!

 

[Aaron Copland]

Quote from Landis82:

And please tell me where do "new" companies and and "new" technologies get capital from in order to emerge and grow?

Have you ever thought of that?
Guess not.

Oh boy here we go. I have had enough. I saved money to start my business, ever heard of that?

 

[Aaron Copland]

Quote from plugger:

No sense in continuing to post here. The inflation crowd and people hoping for widespread bank failures continue to rehash the same groundless arguments. Whatever you guys do, don't let the facts get in your way. For anyone who is interested in how this could play out, do some reading on Argentina in the 1990's and what happened to the middle class.

Japan, more like Japan.